In our Bahia operations, 85% of waste materials are recycled (either sold or donated) and the remainder is reprocessed. We sell bark, short logs and chipping residues as a renewable fuel to generate electricity in replacement of fossil fuels, helping to reduce greenhouse gas (GHG) emissions. All waste materials from forestry operations (nurseries, cultivation, harvesting, fleets, R&D, roads, loading, etc.) are transported and temporarily stored at Waste Depots located at our headquarters in Alagoinhas and at the Quatis (Entre Rios) and Salgado (Inhambupe) farms. Waste materials are then compliantly disposed of according to the type of waste, as follows:

1. Recycling cooperatives: for paper, plastic and wood;
2. Reverse logistics: for pesticide packaging;
3. Sale: for metal scrap, lubricants and bags;
4. Class I landfills: for hazardous waste;
5. Class II landfills: four regular waste;
6. Autoclave: for other waste.

In São Paulo, waste generated in forestry operations is sorted and locally disposed of in each municipality. In areas near our Lençóis Paulista mill, waste materials are collected and sent to the mill and from there to their intended disposal locations depending on the type of waste.

There were no significant waste-related impacts identified in 2023.